The Supreme Court judgment in Philipp included a useful discussion about authority, as Mary Young explains
- A review of the recent Supreme Court decision in Philipp v Barclays Bank with a particular focus on authority.
- Considering the effect of dishonesty on authority.
The Supreme Court decision in Philipp v Barclays Bank UK PLC [2023] UKSC 25 received a lot of attention in respect of its clarification of the duty of care owed by banks to their customers. However, another and arguably more interesting issue considered was that of authority.
So what is the law relating to authority?
The two categories of authority
Actual authority
- This is the authority which a principal has given to its agent, whether expressly (in words or in writing) or impliedly (where the law considers that the agent has been given such authority). This authority derives from an agreement between principal and agent that the agent should represent the principal.
- The effect of this is that the principal is bound by the acts of its agent. There is however, an exception in circumstances
